Applying the Creating Shared Value Approach in the Festival Industry

Applying the Creating Shared Value Approach in the Festival Industry

Master Thesis

Cand.merc. International Marketing & Management

Authors: Ann Andersen (91575) & Annsofie Skorstengaard (41763) Date of submission: 2019, May 15

Supervisor: Jes Rørbech Number of pages: 117.2 Characters: 266,621

Abstract(

Our$thesis$focuses$on$the$concept$of$Creating$Shared$Value$developed$by$Michael$Porter$&$Mark$

Kramer$(2011)$and$its$potential$benefits$for$the$festival$industry.$We$find$this$interesting$to$invesF tigate,$due$to$the$global$grand$challenge$of$the$sustainable$development$and$the$intensified$negaF tive$media$coverage$of$the$festival$industry.$We$seek$to$answer$our$research$question,$in$which$

we$ask$why$festivals$should$consider$shifting$from$a$Corporate$Social$Responsibility$(CSR)$apF proach$to$a$Creating$Shared$Value$(CSV)$orientation.$

$$

With$an$abductive$and$mixed$method$strategy$we$take$departure$in$the$case$of$Roskilde$Festival$

and$several$other$international$companies$that$currently$applies$the$CSR$and$CSV$approach.$The$

mixed$method$approach$is$expressed$through$an$expert$interview$with$Roskilde$Festival’s$sustainF able$manager$as$well$as$five$semiFstructured$interviews$with$Roskilde$Festival$volunteers.$The$theF oretical$perspective$of$the$thesis$derives$from$the$CSR$and$CSV$approaches$as$well$as$business$

model$theory.$These$theories$are$first$and$foremost$used$to$analyze$the$advantages$and$disadF vantages$of$the$two$approaches$based$on$other$industries.$Secondly,$the$theories$are$used$to$inF vestigate$the$potential$advantages$that$the$festival$industry$specifically$could$expect$to$obtain$

from$shifting$to$the$CSV$approach.$This$analysis$is$based$on$Roskilde$Festival$in$order$to$uncover$

which$approach$that$is$the$most$beneficial$for$the$festival$industry.$Furthermore,$we$introduce$a$

CSV$Assessment$Model$that$is$developed$based$on$our$empirical$and$theoretical$findings,$which$is$

used$to$make$the$CSV$approach$more$handsFon$for$festivals$to$implement$and$assess.$$$

$$

Our$thesis$finally$concludes$that$the$festival$industry$should$shift$to$a$CSV$approach$in$order$to$obF tain$longFterm$operational$benefits$for$the$organization$by$delivering$triple$bottom$line$returns$

and$further$help$them$in$securing$competitive$advantages$within$the$industry.$However,$we$do$

not$recommend$the$festivals$to$completely$discard$the$CSR$approach,$as$we$consider$CSR$as$an$

effective$approach$for$branding$and$differentiation.$We$therefore$recommend$the$festival$indusF try$to$create$a$synergy$between$the$CSV$and$CSR$approaches$rather$than$just$focusing$on$one$of$

them.$Consequently,$we$argue$that$this$will$allow$the$festival$industry$to$obtain$the$advantages$of$

both$approaches$while$minimizing$the$disadvantages$of$the$CSR$approach.$

Table&of&Contents

Chapter(1.(Introduction...$F$5$F$

1.1$Grand$Challenge$...$F$5$F$

1.2$Research$Question$...$F$7$F$

1.3$Academic$Conversation$...$F$8$F$

1.4$Case$Application$...$F$9$F$

Chapter(2.(Methodology$...$F$11$F$

2.1$Philosophy$of$Science...$F$11$F$

2.2$Research$Approach,$Design$and$Method$...$F$12$F$

2.3$Data$Collection$and$Analysis$Methods$...$F$15$F$

2.3.1$Secondary$Data$...$F$15$F$

2.3.2$Primary$Data$...$F$16$F$

2.4$Critical$Reflections$...$F$20$F$

Chapter(3.(Literature(Review$...$F$23$F$

3.1$The$Rise$of$Corporate$Social$Responsibility$(CSR)$...$F$23$F$

3.2.1$The$Motivational$Factors$of$CSR$...$F$24$F$

3.2.2$CSR$Arguments$...$F$26$F$

3.2$The$Rise$of$Creating$Shared$Value$(CSV)...$F$27$F$

3.2.1$The$Distinction$Between$CSR$and$CSV$...$F$28$F$

3.2.2$Critique$of$The$CSV$Approach...$F$29$F$

3.3$Business$Model$Theory$and$Environmental$Practices$...$F$30$F$

3.3.1$Value$Creating$Business$Model$Innovation$...$F$31$F$

3.4$Resource$Based$View$...$F$32$F$

Chapter(4.(Theoretical(Frameworks$...$F$34$F$

4.1$The$Triple$Layered$Business$Model$Canvas$(TLBMC)$...$F$34$F$

4.1.1$The$Economic$Layer$...$F$35$F$

4.1.2$The$Environmental$Layer$...$F$37$F$

4.2$PESTEL$Framework$F$A$Macro$Environmental$Analysis$Tool...$F$39$F$

4.3$Triple$Bottom$Line$...$F$41$F$

Chapter(5.(Analysis(Addressing(Research(Sub(Question(1$...$F$42$F$

5.1$Case$Examples:$Implementing$the$CSR$Approach$...$F$42$F$

5.1.1$Discussion$of$Advantages$and$Disadvantages$of$CSR$...$F$48$F$

5.2$Case$Examples:$Implementing$the$CSV$Approach$...$F$54$F$

5.2.1$Discussion$of$Advantages$and$Disadvantages$of$CSV$...$F$57$F$

5.3$SubFConclusion:$Advantages$and$Disadvantages$...$F$62$F$

Chapter(6.(Analysis(Addressing(Research(Sub(Question(2$...$F$64$F$

6.1$PESTEL$Analysis$...$F$64$F$

6.2$Trends$and$Patterns$in$The$Festival$Industry$...$F$69$F$

6.3$Analysis$of$Roskilde$Festival’s$Sustainable$Approach$...$F$71$F$

6.4$A$Triple$Layered$Business$Model$Analysis$of$Roskilde$Festival...$F$78$F$

6.5$Discussion$of$the$Sustainable$Approaches$of$Roskilde$Festival$...$F$85$F$

6.6$SubFConclusion:$The$Implemented$Approach$of$Roskilde$Festival$...$F$88$F$

Chapter(7.(Analysis(Addressing(Research(Sub(Question(3$...$F$89$F$

7.1$Introducing$the$Creating$Shared$Value$Assessment$Model$...$F$89$F$

7.1.1$Identify$Potential$Business$Model$Gaps$...$F$90$F$

7.1.2$Corporate$Value$Assessment$of$the$Identified$Gaps$...$F$94$F$

7.1.3$Close$the$Chosen$Gaps$...$F$98$F$

7.1.4$Implementation$and$Evaluation$Criterias$...$F$102$F$

7.2$Discussion$of$the$Advantages$of$Shifting$to$a$CSV$Approach$...$F$105$F$

7.3$SubFConclusion:$Expected$Advantages$for$the$Festival$Industry$...$F$107$F$

Chapter(8.(Conclusion$...$F$109$F$

Chapter(9.(Our(Thesis’(Contribution(to(the(Research(Field$...$F$112$F$

9.1$Theoretical$Contribution$...$F$112$F$

9.2$Managerial$Contribution$...$F$114$F$

9.3$Delimitation$and$Future$Research$...$F$114$F$

Reference$List$...$F$117$F$

$

$ $

List(of(Figures

$

Figure$1:$Waste$overview$Roskilde$Festival$2015F2017$ $ $ $ $ 10$

Figure$2:$Timeline$of$CSR$from$1950s$to$2010s$ $ $ $ $ $ 24$

Figure$3:$Arguments$for$and$against$CSR$ $ $ $ $ $ $ 27$

Figure$4:$Summing$up$the$Differences$between$CSR$and$CSV$ $ $ $ 29$

Figure$5:$The$TLBMC$creates$two$new$dynamics:$Horizontal$and$Vertical$Coherence$ 35$

Figure$6:$Economic$Business$Model$Canvas$ $ $ $ $ $ $ 36$

Figure$7:$Environmental$Life$Cycle$Business$Model$Canvas$ $ $ $ $ 38$

Figure$8:$The$PESTEL$Framework’s$Analytical$Focus$ $ $ $ $ $ 40$

Figure$9:$TBL$Framework$ $ $ $ $ $ $ $ $ 41$

Figure$10:$Raw$Materials$of$Cloetta$ $ $ $ $ $ $ $ 43$

Figure$11:$Cloetta’s$Operating$Expenses$ $ $ $ $ $ $ 43$

Figure$12:$Cloetta’s$Carbon$Dioxide$Emissions$ $ $ $ $ $ 46$

Figure$13:$Key$CSR$Advantages$and$Disadvantages$ $ $ $ $ $ 49$

Figure$14:$Key$CSV$Advantages$and$Disadvantages$ $ $ $ $ $ 58$

Figure$15:$Comparing$the$CSR$and$CSV$Advantages$and$Disadvantages$ $ $ 63$

Figure$16:$The$Political$Environment$for$the$Festival$Industry$$$ $ $ $ 66$

Figure$17:$Key$Findings$from$our$Meaning$Coding$ $ $ $ $ $ 74$

Figure$18:$TLBMC$(Economical$Layer)$Analysis$of$Roskilde$Festival$ $ $ $ 79$

Figure$19:$TLBMC$(Environmental$Layer)$Analysis$of$Roskilde$Festival$ $ $ 82$

Figure$20:$The$CSV$Assessment$Model$$ $ $ $ $ $ $ 91$

Figure$21:$Key$potential$Business$Model$Gaps$for$Roskilde$Festival$$ $ $ 92$

Figure$22:$Value$Mapping$of$Identified$Gaps$$ $ $ $ $ $ 96$

Figure$23:$TBL$analysis$of$People,$Planet$and$Profit$ $ $ $ $ $ 102$

$

$

List(of(Appendixes(

$

Appendix$1:$Interview$Guide$for$Roskilde$Festival$Manager$$ $ $ $ 126$

Appendix$2:$Interview$Guide$for$Roskilde$Festival$Volunteers$ $ $ $ 127$

Appendix$3:$Interview$with$Freja$Marie$Frederiksen$$ $ $ $ $ 128$

Appendix$4:$Interview$with$Linnea$Kirstina$Edström$$ $ $ $ $ 138$

Appendix$5:$Interview$with$Pernille$Bagge$Poulsen$ $ $ $ $ $ 142$

Appendix$6:$Interview$with$Rikke$Stokkendahl$ $ $ $ $ $ 147$

Appendix$7:$Interview$with$Thomas$Piil$Torabi$ $ $ $ $ $ 153$

Appendix$8:$Interview$with$Emilie$Ekman$ $ $ $ $ $ $ 157$

Appendix$9:$Meaning$Coding$of$Volunteer$Interviews$ $ $ $ $ 165$

Appendix$10:$Quantitative$Data$ $ $ $ $ $ $ $ 174$

$

(

Chapter(1.(Introduction (

1.1(Grand(Challenge

(

Today’s$global$society$is$to$a$large$extent$characterized$by$a$growing$concern$and$focus$on$social$

and$environmental$issues,$which$we$define$as$our$grand$challenge.$The$concept$of$sustainable$deF velopment$has$gained$much$ground$in$the$last$few$years$as$we$have$begun$to$realize$how$certain$

forces$have$been$very$damaging$to$the$world$and$how$the$effects$of$globalization$have$put$presF sure$on$the$environment$(Séraphin$&$Nolan,$2019).$One$of$these$issues$is$climate$changes,$which$

negatively$influences$the$social$and$environmental$determinant$of$health$(i.e.$poverty,$clean$air,$

safe$drinking$water$and$food$supplies),$and$causes$extreme$events$such$as$floods$and$hurricanes.$

Actually,$70%$of$all$cities$around$the$world$are$already$dealing$with$climate$changes,$and$nearly$all$

are$at$risk$(C40,$2019).$For$these$reasons,$there$is$a$pressing$need$for$the$global$population$to$colF lectively$identify$new$approaches,$try$new$methods$and$develop$new$tools$to$improve$the$social$

and$environmental$impact$of$these$climate$changes.$$

$

The$most$widely$accepted$definition$of$such$sustainable$development$is$framed$by$the$United$NaF tions;$“sustainable+development+is+development+that+meets+the+needs+of+the+present+without+com6 promising+the+ability+to+future+generations+to+meet+their+own+needs”+(Séraphin$&$Nolan,$2019,$p.$

1).$This$definition$and$sustainable$approach$have$been$further$elaborated$and$adjusted$over$time,$

which$have$resulted$in$newer$terminologies$such$as$the$Corporate$Social$Responsibility$(CSR)$and$

Creating$Shared$Value$(CSV)$approaches.$The$CSR$approach$is$well$adopted$by$organizations$to$

meet$the$societal$pressure$and$thus$obtain$different$corporate$benefits$(Matten$&$Moon,$2008).$

One$way$to$improve$the$social$and$environmental$state$of$society$is$for$corporations$to$act$good$

and$assume$the$role$of$being$judges,$juries,$and$executioner,$and$use$their$extensive$power$(LanF tos,$2001).$Nevertheless,$the$CSR$approach$has$been$highly$criticized$for$being$corporate$spin$and$

provide$too$much$power$to$rely$on$the$organization$itself$to$act$responsible$(Matten$&$Moon,$

2008).$As$a$consequence,$Porter$&$Kramer$(2011)$introduced$the$CSV$approach,$an$approach$that$

they$believe$will$revolutionize$the$sustainable$development.$They$argued$that$organizations$that$

follow$the$CSV$approach$must$choose$a$unique$focus$for$sustainable$development$and$ensure$that$

this$focus$is$fully$integrated,$both$strategic$and$operational.$By$implementing$the$CSV$approach,$

they$claim$that$organizations$can$obtain$competitive$advantages$and$ensure$Triple$Bottom$Line$

returns,$which$refers$to$the$notion$and$returns$in$terms$of$People,+Planet+and+Profit+(Elkington,$

1997).$However,$due$to$the$recent$introduction$by$Porter$&$Kramer$(2011),$the$CSV$approach$is$

only$applied$by$a$limited$number$of$organizations.$$

$

Considering$the$grand$challenge$of$the$sustainable$development,$there$is$a$pressing$need$for$the$

global$population$to$collectively$identify$new$approaches,$try$new$methods,$and$develop$new$

tools$to$improve$the$social$and$environmental$impacts.$We$find$the$sustainable$development$of$

the$CSR$and$CSV$approach$interesting$to$further$investigate$in$order$to$evaluate$whether$there$is$

potential$for$the$CSV$approach$to$really$change$the$corporate$responsibility.$Moreover,$it$can$be$

valuable$to$understand$the$role$of$sustainability$within$the$event$management$industry,$given$the$

size$of$the$industry$and$the$popularity$of$events$among$the$population.$In$fact,$events$and$festiF vals$are$well$recognized$for$having$a$negative$effect$on$communities$and$the$environment$(Gibson$

&$Wong,$2011;$Laing$&$Frost,$2010).$Consequently,$for$many$event$professionals,$sustainability$is$

now$equated$with$survival$(Séraphin$&$Nolan,$2019).$Nevertheless,$limited$research$has$been$conF ducted$within$the$area$of$sustainable$approaches,$and$hence$the$notion$of$CSR$and$CSV,$and$their$

potential$impact$on$the$festival$industry.$$

$

There$is$a$pressing$need$for$festival$organizations$to$apply$sustainability$targets$to$all$elements$of$

the$strategy$and$operational$aspects,$especially$within$reducing,$reusing$and$recycling$(Séraphin$&$

Nolan,$2019).$Much$consideration$is$now$on$minimizing$waste$as$well$as$increasing$the$amount$of$

sorted$waste.$One$such$festival$that$apply$sustainability$targets$to$increase$the$amount$of$sorted$

waste$is$Roskilde$Festival,$one$of$Europe’s$largest$festivals.$Roskilde$Festival$is$currently$struggling$

with$meeting$their$own$sustainability$targets,$which$states$that$they$should$increase$the$amount$

of$sorted$waste$with$10%$per$year$in$the$period$of$2016F2019.$From$2016F2017$they$only$manF aged$to$increase$the$amount$of$sorted$waste$with$1.5%$(Roskilde$Festival,$Sustainability,$2016).$

Looking$at$the$issue$from$a$theoretical$perspective,$it$may$imply$that$Roskilde$Festival$is$applying$a$

CSR$approach,$and$do$not$fully$exploit$the$benefits$due$to$insufficient$strategic$and$operational$

integration,$thus,$indicating$that$they$could$benefit$from$the$CSV$approach.$We$find$Roskilde$FestiF val$as$a$relevant$case$in$contributing$to$the$limited$research$field$of$the$sustainable$development$

approaches$of$the$CSR$and$CSV$approach$in$the$festival$industry$in$general.$Moreover,$due$to$the$

size$and$international$notion$of$Roskilde$Festival$we$further$find$it$valid$to$generalize$to$other$fesF tivals.$$$

1.2(Research(Question

(

Considering$the$grand$challenge$behind$our$thesis$and$the$influence$of$the$festival$industry,$it$is$

necessary$for$the$festivals$to$consider$a$strategic$change$to$secure$future$survival.$Organizations$

must$take$the$lead$in$bringing$business$and$society$back$together,$and$the$CSV$framework$will$acF cording$to$Porter$&$Kramer$(2011)$guide$them$through$being$stuck$in$a$“social$responsibility”$

mindset$in$which$societal$issues$are$at$the$periphery,$not$the$core.$Thus,$this$argumentation$imply$

that$the$festival$industry$could$benefit$from$shifting$from$a$CSR$approach$to$a$CSV$approach.$$

$

We$will$apply$Roskilde$Festival$as$a$case$to$explicitly$investigate$the$potential$benefits$that$can$be$

obtained$by$shifting$strategic$focus$in$relation$to$sustainability.$We$see$the$festival$relevant$due$to$

their$strategic$difficulties$of$reaching$their$own$waste$targets.$Indeed,$to$reach$their$waste$sorting$

targets$in$the$Sustainability$Strategy,$Roskilde$Festival$must$adopt$to$environmental$and$societal$

pressure.$To$achieve$their$goal$and$thus$improve$their$competitive$situation,$the$festival$should$

consider$assessing$their$strategic$approach$to$waste$handling$in$relation$to$the$CSR$and$CSV$apF proaches.$With$point$of$departure$in$the$multiple$case$studies,$such$as$Roskilde$Festival,$we$strive$

to$answer$the$following$research$question:$

$ Why(should(festivals(consider(shifting(from(a(Corporate(Social(Responsibility(approach(to(a(CreQ ating(Shared(Value(orientation?$

$ 1.! What$are$the$advantages$and$disadvantages$of$implementing$a$Corporate$Social$ResponsiF

bility$and$a$Creating$Shared$Value$approach$and$which$is$the$most$beneficial?$

2.! What$is$the$current$approach$implemented$by$the$case$of$Roskilde$Festival$and$how$well$is$

it$implemented?$

3.! Which$are$the$advantages$that$the$festival$industry$could$receive$from$shifting$to$a$CreatF ing$Shared$Value$Approach?$$

$

The$following$section$will$present$an$academic$conversation$based$on$the$above$research$quesF tion$as$well$as$arguing$for$how$our$research$will$contribute$to$the$academic$field.$$

$

$

1.3(Academic(Conversation

(

An$extensive$amount$of$literature$has$investigated$aspects$related$to$our$presented$grand$chalF lenge,$including$organizations$influence$on$environmental$and$social$issues$and$how$this$is$related$

to$the$festival$industry.$Porter$&$Kramer$started$a$discussion$about$how$the$concept$of$shared$

value$“has+the+power+to+unleash+the+next+wave+of+global+growth”$(Porter$&$Kramer,$2011,$p.$1).$

They$furthermore$see$CSV$as$a$paradigmatic$change$in$management$thinking,$one$that$they$beF lieve$should$contribute$to$nothing$less$than$the$reinvention$of$capitalism.$Those$statements,$and$

their$academic$article,$created$a$change$in$the$traditional$paradigm$of$CSR.$When$applying$CSR,$

Carroll$is$an$essential$contributor$and$has$advanced$the$field$with$his$different$CSR$models$and$

thus$made$it$less$nebulous.$Several$academics$have$contributed$to$the$field$of$study$and$besides$

Carroll$(1991;$2008)$other$contributors$are$Elkington$(1997),$Matten$&$Moon$(2008),$and$Kumar$&$

Christodoulopoulou$(2014).$These$academics$have$all$expanded$the$terminology$of$CSR$and$

evolved$the$field$with$different$branches$and$models.$Many$academics$see$CSV$as$a$branch$of$CSR,$

however$Beschorner$(2013)$criticizes$CSV$as$being$the$same$concept$but$disguised$as$a$much$

more$radical$approach.$$

$

The$CSV$approach$is$still$a$topic$with$limited$research,$as$existing$literature$exploring$the$impleF mentation$results$of$CSV$are$sparse.$Nonetheless,$big$corporations$such$as$Nestlé,$IBM,$Google$

and$Apple$have$taken$on$CSV$which$suggest$a$corporate$recognition$of$CSV$as$a$beneficial$strateF gic$tool.$Furthermore,$the$CSV$and$CSR$approach$is$about$integrating$sustainability$into$the$core$of$

the$business,$and$hence$the$business$model$of$an$organization$(Porter$&$Kramer,$2011;$Elkington,$

1997;$Matten$&$Moon,$2008).$However,$we$find$a$lack$of$perspectives$on$the$link$between$how$

the$two$different$approaches$affect$the$business$model$and$its$outcome$both$in$terms$of$adF vantages$and$disadvantages.$Several$theoretical$perspectives$within$the$CSR$and$CSV$approach$inF vestigate$the$advantages$and$disadvantages,$however$only$limited$research$have$been$conducted$

within$the$field$of$the$two$approaches$consequences$and$its$effects$on$the$business$model.$$$

$

From$our$exploration$of$existing$literature,$we$find$that$several$theorists$have$an$idea$about$how$

organizations$should$engage$in$sustainable$practices.$We$have$further$found$that$the$two$distinct$

approaches$of$CSR$and$CSV$have$not$been$investigated$within$the$festival$industry.$The$festival$inF dustry$is$interesting$to$investigate$because$in$reality,$for$many$event$professionals,$sustainability$is$

now$equated$with$survival$(Séraphin$&$Nolan,$2019).$Moreover,$the$question$about$how$the$

concept$of$CSR$versus$CSV$affects$the$business$model$have$never$been$measured$within$this$inF dustry.$With$our$research$of$the$case$of$Roskilde$Festival$and$other$organizations$who$apply$the$

CSR$or$CSV$approach,$we$strive$to$expand$the$existing$literature$within$the$field$of$sustainable$beF havior$of$the$festival$industry.$We$aim$to$accomplish$this$by$contributing$with$empirical$insights$on$

how$current$organizations$benefit$from$the$two$approaches$and$which$advantages$the$case$of$

Roskilde$Festival,$and$hence$the$festival$industry,$can$expect$to$gain$from$shifting$to$a$CSV$oriF ented$approach.$$$

1.4(Case(Application

(

We$will$apply$multiple$cases$in$order$to$identify$the$empirical$advantages$and$disadvantages$of$

the$CSR$and$CSV$approaches$within$several$industries$to$conclude$and$verify$the$theoretical$arguF ments$of$chosen$theorists.$We$have$chosen$to$include$the$case$study$of$Cloetta$and$Nestlé$(NesF presso)$based$on$their$sustainable$relevance$for$our$thesis.$Furthermore,$we$use$examples$from$

companies$of$H&M$Group,$VELUX$Group,$Mondelez,$Nike,$Inditex,$and$Walmart$to$exemplify$their$

advantages$or$disadvantages$of$implementing$either$a$CSR$or$CSV$approach.$In$order$to$conclude$

on$why$the$festival$industry$should$consider$shifting$to$a$CSV$oriented$approach$we$will$apply$one$

of$Europe’s$largest$international$festivals$as$an$inFdepth$case$study.$The$chosen$case$is$Roskilde$

Festival,$which$will$be$presented$more$in$detail$in$the$following$section.$

$

Roskilde$Festival$is$a$nonFprofit$music$and$art$festival$located$in$Roskilde,$Denmark.$The$festival$is$

organized$by$Roskilde$Festival$Charity$Society$and$is$one$of$the$largest$and$oldest$festivals$in$

Northern$Europe,$dating$back$to$1971$(Roskilde$Festival$Gruppen,$For$Studerende,$2019).$Every$

year$Roskilde$Festival$donates$their$profits$to$humanitarian$causes$and$other$charitable,$nonFprofit$

and$cultural$organizations$with$a$particular$focus$on$children$and$young$people.$The$festival$not$

only$focus$on$the$international$market$in$their$donations,$they$also$aim$at$attracting$and$retaining$

an$international$audience,$which$is$why$they$sell$tickets$in$67$countries$(Roskilde$Festival$Gruppen,$

For$Studerende,$2019).$Moreover,$Roskilde$Festival$is$known$as$one$of$Europe's$biggest$music$

events.$In$2018,$130.000$international$and$national$participants$travelled$to$Roskilde$to$enjoy$the$

atmosphere$and$music$and$art$program$of$Roskilde$Festival$(Roskilde$Festival$Gruppen,$For$StuF derende,$2019).$The$festival$recognizes$that$they$could$not$be$as$successful$as$they$are$without$

their$30.000$engaged$and$motivated$volunteers$to$setFup,$manage$and$maintain$the$entire$festival$

area,$as$they$express$“we+are+who+we+are+because+of+the+volunteers”$(Roskilde$Festival$Gruppen,$

For$Studerende,$2019).$As$a$tool$to$communicate$with$both$the$volunteers$and$the$festival$guests,$

a$mobile$application$was$introduced$in$2012.$In$2018,$the$application$had$135.000$active$users$

who$averagely$spent$32$minutes$on$the$application$during$the$festival$(Roskilde$Festival$Gruppen,$

For$Studerende,$2019).$

$

The$ambition$of$the$Roskilde$Festival$Charity$Society$is$to$develop$engaged$and$open$communities$

that$can$positively$influence$people$through$music,$art,$sustainability,$and$active$participation$

(Roskilde$Festival,$Om$Festivalen,$2019).$In$regard$to$sustainability,$Roskilde$Festival$focus$on$

waste$and$recycling,$being$an$organic$festival,$sustainable$procurement,$water$usage,$and$culture$

and$awareness.$As$mentioned$in$the$Grand$Challenge$our$thesis$will$go$inFdepth$with$the$waste$

and$recycling$approach.$In$2017$Roskilde$Festival$generated$2,281$tons$of$waste,$which$compared$

to$the$previous$ten$years,$causes$2017$to$come$in$third$only$exceeded$in$2016$with$2,490$tons$and$

in$2007$with$2,964$tons$(see$figure$1)$(Roskilde$Festival,$Sustainability,$2016).$This$indicates$that$

the$amount$of$waste$has$been$reduced$from$2016$until$2017.$However,$as$the$waste$volume$is$

sensitive$to$uncontrollable$factors$such$as$the$weather$conditions,$our$thesis$will$focus$on$the$

amount$of$sorted$waste.$Roskilde$Festival$aims$at$increasing$the$amount$of$sorted$waste$by$10%$

per$year$in$the$period$of$2016F2019.$Nevertheless,$Roskilde$Festival$only$managed$to$increase$the$

amount$of$sorted$waste$with$1,5%$from$2016F2017$(Roskilde$Festival,$Sustainability$Report,$2016).$$

$

$

Figure$1:$Waste$Overview$Roskilde$Festival$2015F2017$

1784 2091

127 1876

399 405

0 500 1000 1500 2000 2500 3000

2015 2016 2017

TON WASTE

Incineration Sorted

Chapter(2.(Methodology( (

We$first$provide$a$description$of$our$research$philosophy$and$design$that$guides$our$thesis.$MovF ing$forward,$we$will$discuss$how$to$secure$the$validity$and$reliability$and$which$factors$to$be$

aware$of.$Finally,$we$will$present$the$data$collection$and$analysis$methods$applied$in$our$thesis.$$ 2.1(Philosophy(of(Science(

(

The$philosophy$of$science,$i.e.$the$philosophical$worldview,$refers$to$the$basic$set$of$beliefs$that$

guides$our$actions$as$researchers$(Creswell,$2009).$Moreover,$our$worldview$influences$what$is$

being$studied,$how$our$research$is$conducted,$and$how$we$interpret$our$results$(Bryman$&$Bell,$

2015).$In$our$thesis$we$believe$that$the$best$way$to$interpret$and$understand$our$research$data$is$

by$adapting$the$worldview$of$social+constructivism.$In$the$following$section,$we$will$briefly$deF scribe$this$worldview$and$argue$for$how$it$will$contribute$to$our$thesis.$$$$$

$

Social$constructivism$states$that$reality$is$socially$constructed$and$that$this$constructed$reality$is$

determined$by$people$who$assign$different$meanings$to$their$experiences$(EasterbyFSmith,$Thorpe$

&$Jackson,$2008).$Thus,$we$conduct$our$research$through$the$assumption$that$the$knowledge$we$

have$constructed$through$social$interactions$is$inseparable$from$how$we$perceive$and$interpret$

the$true$reality.$Indeed,$reality$is$defined$as$“a+quality+appertaining+to+phenomena+that+we+recog6 nize+as+having+a+being+independent+of+our+own+volition”+(Berger$&$Luckmann,$1991,$p.$13),$which$

simply$means$that$we$cannot$“wish$them$away”$i.e.$the$phenomena.$Knowledge$is$defined$as$“the+

certainty+that+phenomenons+are+real+and+that+they+possess+specific+characteristics”$(Berger$&$LuckF mann,$1991,$p.$13).$It$is$in$this$sense$that$the$social$constructivism$has$relevance$for$our$thesis,$as$

it$allows$us$to$question$both$the$‘reality’$and$the$‘knowledge’$of$others,$and$hence$the$theory$of$

Corporate$Social$Responsibility$(CSR)$and$Creating$Shared$Value$(CSV)$and$its$appliance$to$the$fesF tival$industry.$This$also$relates$to$our$first$sub$research$question$where$we$will$seek$to$understand$

the$theories$by$together,$as$researchers,$socially$construct$our$own$reality$of$these$two$apF

proaches.$This$by$applying$empirical$data$and$interpreting$the$advantages$and$disadvantages$from$

different$companies’$realities.$$

$

Social$constructivism$maintains$that$the$focus$of$the$researcher$must$be$on$how$people$think$and$

feel$as$well$as$seek$to$understand$why$individuals$have$different$experiences$and$finally$attempt$

to$explain$these$(EasterbyFSmith$et$al.,$2008).$This$also$relates$to$our$second$sub$research$

question$where$we$aim$to$identify$the$approach$implemented$by$Roskilde$Festival,$and$in$order$to$

do$so$we$need$to$interact$and$socially$construct$the$reality$together$with$both$Roskilde$Festival$as$

an$organization$and$their$volunteers,$as$we$need$to$understand$the$reality$from$both$viewpoints.$

Potential$differences$in$experiences$can$thereafter$be$explained$and$understood.$We$claim$that$in$

order$to$understand$a$person$one$must$understand$the$social$environment$where$their$experiF ences$are$created,$which$is$why$we$will$conduct$a$macro$environmental$and$industrial$analysis$beF fore$engaging$with$Roskilde$Festival$and$their$volunteers.$Finally,$before$being$able$to$conclude$

why$the$festival$industry$should$consider$shifting$from$a$CSR$approach$to$a$CSV$approach$it$is$necF essary$to$socially$construct$a$reality$of$the$two$terms$applied$on$the$festival$industry$specifically.$

Indeed,$as$there$is$limited$research$conducted$within$this$field,$we$need$to$construct$the$reality$

together$as$researchers$based$on$our$new$learnings$and$experiences.$$$$$

$

Further,$it$is$connected$with$the$relativist$ontology$that$argues$that$reality$is$socially$negotiated,$

and$an$individual’s$understanding$of$reality$is$specific$and$unique$to$the$individual$(EasterbyFSmith$

et$al.,$2008).$We$therefore$recognize$that$the$individual’s$perception$about$the$reality$is$unique.$

Epistemologically,$social$constructivism$is$based$on$subjectivism,$thus$claiming$that$the$individuF als,$i.e.$us$as$researchers$and$our$respondents,$create$knowledge,$and$that$we$may$perceive$the$

same$situation$differently$(EasterbyFSmith$et$al.,$2008).$We$therefore$argue$that$individuals$imF merse$in$interactions$within$social$environments$and$consequently$meanings$are$constructed$soF cially.$As$presented,$we$believe$that$by$using$social$constructivism$and$its$underlying$understandF ing$it$will$permit$us$to$answer$our$sub$research$questions$by$using$applicable$methods.$This$will$be$

covered$in$the$next$section$together$with$the$chosen$research$approach$and$design.$$$ 2.2(Research(Approach,(Design(and(Method

(

The$extent$to$which$our$research$is$concerned$with$theory$testing$or$theory$building$raises$an$imF portant$question$regarding$our$design$of$the$thesis.$This$is$often$presented$as$two$contrasting$apF proaches$to$the$reasoning$that$we$adopt:$deductive$or$inductive.$However,$reasoning$can$also,$alF ternatively,$be$abductive.$We$use$existing$literature$and$theory$on$CSR,$CSV,$business$models$and$

sustainable$behavior$of$organizations,$and$a$mixed$method$approach$to$answer$our$research$

questions.$Consequently,$we$collect$data$to$evaluate$propositions$related$to$existing$theory$in$orF der$to$further$develop$a$more$comprehensible$theoretical$perspective$than$the$one$already$existF ing.$Thus,$our$thesis$is$based$on$abductive$reasoning$(Saunders,$Lewis$&$Thornill,$2016).$$

The$starting$point$for$our$thesis$was$the$presentation$of$a$new$sustainable$approach,$namely$the$

CSV$approach.$Porter$&$Kramer$(2011)$argued$that$this$would$ensure$success$and$triple$bottom$

line$returns.$From$literature$it$was$found$that$the$sustainable$approach$applied$by$companies$

might$be$to$blame$for$their$struggles.$The$festival$industry$is$of$high$importance$in$this$subject,$

and$one$festival$that$struggles$with$meeting$their$waste$targets$is$Roskilde$Festival.$For$this$reaF son,$we$aim$at$testing$the$existing$approaches$within$sustainable$theory,$and$thus$use$deductive$

reasoning$where$we$test$existing$theory$by$analyzing$advantages$and$disadvantages$of$CSR$and$

CSV$with$empirical$data.$Secondly,$we$will$use$inductive$reasoning$to$develop$the$existing$theory$

by$analyzing$and$identifying$what$the$festival$industry$can$expect$to$obtain$by$implementing$a$CSV$

approach,$and$hence$why$they$should$consider$shifting$from$a$CSR$to$a$CSV$approach.$$We$are$usF ing$existing$theory$and$literature$to$create$a$guide$for$our$qualitative$interview$with$Roskilde$FestiF val$and$we$use$the$outcome$of$this$interview$together$with$theory$to$create$a$guide$for$the$interF views$with$the$volunteers.$We$make$conclusions$of$our$data$analysis$to$develop$the$existing$theoF retical$assumptions$and$to$answer$our$research$question.$$$$

$

A$research$design$is$defined$as$“a+framework+or+plan+for+conducting+a+marketing+research+project”$

(Malhotra,$Nunan$&$Birks,$2017,$p.$61).$The$aim$of$the$research$design$is$to$detail$the$procedures$

necessary$for$obtaining$the$information$needed$to$structure$or$solve$the$research$question$(MalF hotra$et$al.,$2017).$Hence,$choosing$the$right$research$design$is$essential$as$it$lays$the$foundation$

for$our$thesis.$In$addition,$a$good$research$design$will$ensure$that$the$thesis$process$will$be$conF ducted$effectively$and$efficiently$(Malhotra$et$al.,$2017).$Different$types$of$research$design$and$

methods$can$be$combined$with$social$constructivism$(Esmark,$Bagge$&$Åkerstrøm,$2015).$Broadly$

speaking$a$research$design$can$be$either$exploratory$or$conclusive$(Malhotra$et$al.,$2017).$Our$

thesis$will$apply$an$exploratory$research$design,$as$it$is$a$flexible$and$evolving$approach$used$to$

understand$a$marketing$phenomenon$that$are$inherently$difficult$to$measure$(Esmark$et$al.,$

2015).$We$seek$to$understand$and$explain$why$the$festival$industry$should$consider$shifting$from$

a$CSR$to$a$CSV$approach,$and$thus$it$is$necessary$to$fully$understand$the$advantages$and$disadF vantages$of$both$approaches,$both$for$companies$currently$applying$the$approaches$and$for$the$

festival$industry$specifically.$In$order$to$fully$understand$the$potential$advantages$and$disadF vantages$for$the$festival$industry$of$shifting$to$a$CSV$oriented$approach,$it$is$necessary$to$firstly$

conduct$an$analysis$of$our$case$companies$and$their$business$models.$Secondly,$to$conduct$a$more$

inFdepth$analysis$of$the$business$model$of$Roskilde$Festival$and$their$environmental$approach$and$

finally$to$identify$what$they$can$obtain$by$implementing$the$CSV$approach.$This$process$is$highly$

complex$and$difficult$to$measure,$which$is$why$we$have$chosen$the$exploratory$design.$$

$

In$addition,$we$will$apply$a$mixed$method$research$method$based$on$explorative$semiFstructured$

interviews$with$one$representative$from$Roskilde$Festival$and$five$volunteers$at$Roskilde$Festival.$

We$apply$this$research$method$as$we$will$combine$our$dominating$design$of$qualitative$data$with$

a$smaller$quantitative$element.$The$interviews$will$include$two$closeFended$questions$and$several$

openFended$questions$which$will$allow$the$participants$to$state$their$thoughts$and$unique$inF sights.$Further,$we$will$quantify$some$of$the$findings$of$the$volunteer$interviews$in$order$to$idenF tify$patterns$in$the$volunteers’$perception$of$waste$management$at$Roskilde$Festival.$This$strucF ture$was$chosen$to$ensure$a$free$exchange$of$both$regular$and$sensitive$information$(Malhotra$et$

al.,$2017)$while$at$the$same$time$benefiting$from$quantitative$data$to$identify$patterns.$The$more$

specific$research$techniques$that$we$apply$in$the$data$analysis$will$be$meaning$coding$of$the$five$

volunteer$interviews$and$the$usage$of$descriptive$statistics.$The$chosen$methods$and$techniques$

are$completely$aligned$with$our$research$philosophy.$$

$

We$apply$a$multipleFcase$study$research$strategy,$where$the$‘cases’$is$different$companies$that$

apply$the$CSR$or$CSV$approach$and$Roskilde$Festival$(Saunders$et$al.,$2016).$A$multipleFcase$study$

strategy$has$the$capacity$to$generate$insights$from$intensive$and$inFdepth$research$about$a$pheF nomenon$in$its$realFlife$context,$leading$to$empirical$descriptions$and$the$development$of$new$

theory$(Saunders$et$al.,$2016).$By$incorporating$multiple$cases,$we$have$the$rationale$for$using$

these$cases$to$establish$whether$the$findings$of$the$first$case$occur$in$other$cases,$and$as$a$conseF quence,$we$can$generalize$from$these$findings$(Saunders$et$al.,$2016).$Thus,$we$will$use$several$

cases$to$determine$the$advantages$and$disadvantages$of$the$CSR$and$CSV$approach,$and$then$inF vestigate$whether$these$findings$will$occur$in$the$case$of$Roskilde$Festival,$and$hence$we$will$use$

this$in$order$to$generalize$to$the$entire$festival$industry.$Brinkmann$&$Kvale$(2009)$argue$that$the$

study$of$multiple$cases$does$not$always$require$a$large$sample$size$since$it$does$not$always$guarF antee$and$secure$value.$Both$analytical$generalization$and$communicative$validity$require$that$the$

description$of$the$interview$process$and$interviewee$selection$is$of$high$quality.$This$points$toF wards$the$importance$of$how$such$process$is$collected$and$analyzed$which$will$be$investigated$in$

the$following$section.$

$

2.3(Data(Collection(and(Analysis(Methods(

(

This$section$further$elaborates$on$our$chosen$research$method$and$techniques$in$relation$the$

collecFted$data$and$how$we$will$analyze$it.$The$following$will$be$divided$into$secondary$and$priF mary$data.$$

2.3.1(Secondary(Data((

Secondary$data$is$data$that$has$already$been$collected$by$other$researchers$with$other$purposes$

in$mind.$This$kind$of$data$can$therefore$be$biased$and$not$completely$applicable$for$our$thesis$if$

not$chosen$wisely.$However,$by$choosing$the$best$sources,$secondary$data$can$be$as$close$to$being$

representative$as$one$can$get$(Bryman$&$Bell,$2015).$Secondary$data$is$beneficial$for$our$thesis$as$

it$is$easy$to$access,$relatively$inexpensive,$and$quickly$obtained,$which$is$highly$important$in$order$

to$fully$understand$and$conclude$on$our$research$question.$$

$

We$will$be$using$secondary$data$to$obtain$general$knowledge$about$the$CSR$and$CSV$approaches,$

as$well$as$discovering$and$understanding$its$advantages$and$disadvantages$for$current$companies$

that$operate$within$these$approaches.$Moreover,$we$will$apply$secondary$data$to$address$trends$

and$patterns$within$the$festival$industry$and$its$macro$environment.$By$using$secondary$data$to$

understand$these$topics$we$will$have$more$time$to$conduct$the$data$analysis.$Furthermore,$the$

secondary$data$will$be$used$to$validate$or$discard$some$of$the$theoretical$standpoints$of$CSR$and$

CSV.$Secondary$data$can$be$classified$as$either$internal$or$external$(Malhotra$et$al.,$2017).$Internal$

data$is$data$that$have$been$generated$within$one$of$our$case$companies$(Malhotra$et$al.,$2017)$

and$will$in$our$thesis$consist$of:$sustainable$reports,$annual$reports,$articles,$and$corporate$webF sites.$External$data,$on$the$other$hand,$is$defined$as$data$that$originates$outside$of$our$case$comF panies$(Malhotra$et$al.,$2017).$We$will$apply$external$data$in$the$sense$of$data$from$nonFprofit$and$

profit$organizations,$academic$journals$and$literature$and$a$quantitative$study$from$A$Greener$

Festival.$$

$

To$ensure$that$our$applied$data$is$both$useful$and$of$high$quality,$we$have$critically$evaluated$the$

source$and$data$before$applying$it$in$our$thesis.$The$factors$that$we$have$evaluated$on$is$the$

source$and$data$reliability,$validity,$objectives,$nature,$and$dependability.$This$process$is$highly$

crucial,$as$not$all$sources$or$data$is$useful$and$correct$in$relation$to$the$research$question$we$have$

on$hand.$$

2.3.2(Primary(Data(((

Primary$data$is$data$that$we$ourselves$as$researchers$have$collected$specifically$to$address$our$reF search$question$(Malhotra$et$al.,$2017).$We$collected$primary$data$through$our$interviews$and$

since$our$thesis$holds$a$social$constructivist$research$philosophy$it$will$allow$us$to$gain$a$deeper$

understanding$of$each$individual$person.$We$apply$a$mix$of$qualitative$and$quantitative$methods,$

namely$one$inFdepth$interview,$five$shorter$semiFstructured$interviews$with$openFended$quesF tions$and$smaller$quantification$of$the$findings$to$identify$patterns$in$the$volunteer’s$comprehenF sion$of$Roskilde$Festival’s$environmental$profile.$The$interview$process$can$seem$chaotic$and$diffiF cult$for$the$novice$interviewer.$Therefore,$we$apply$Brinkmann$&$Kvale’s$(2015)$‘Seven+Stages+of+

an+Interview+Inquiry’$to$ensure$that$the$collected$data$is$of$the$quality$we$originally$intended.$In$

the$following$section,$each$step$will$be$elaborated$on$in$detail.$$$

$

Stage(1:(Thematizing(the(Interviews$

Why:$

Clarifying+the+pur6 pose+of+the+study+$

The$purpose$of$the$interviews$is$to$get$detailed,$inFdepth$knowledge$

about$Roskilde$Festival’s$approach$to$sustainability$as$well$as$insight$in$

how$they$operate$and$hence$how$their$business$model$is$formed.$In$orF der$to$do$so$we$will$need$to$understand$the$festival$from$both$a$strategic$

and$operational$level.$This$information$will$be$used$to$examine$the$reF search$phenomenon$and$hence$clarify$why$the$festival$industry$should$

consider$shifting$from$a$CSR$to$a$CSV$approach.$$

What:$

Obtaining+prior+

knowledge+of+the+

subject+to+be+investi6 gated+$

We$aim$to$get$an$overview$of$the$advantages$and$disadvantages$of$both$

the$CSR$and$CSV$approach$prior$to$the$interviews.$This$to$get$a$better$unF derstanding$of$where$to$ask$more$inFdepth$questions,$as$we$should$be$

able$to$recognize$hints$and$patterns.$Moreover,$prior$knowledge$of$initiaF tives,$media$crisis,$and$environmental$impacts$related$to$Roskilde$FestiF val’s$waste$management$makes$it$essential$for$us$to$utilize$the$semiF structured$interview$structure$by$asking$the$participants$for$supplemenF tary$information$when$needed.$$$

(

Stage(2:(Designing(the(Interviews$

This$stage$aims$at$answering$the$how$question.$This$relates$to$planning$of$procedures$and$techF niques$that$will$be$needed$to$obtain$the$intended$knowledge.$The$six$interviews$conducted$are$

explorative$and$semiFstructured,$whereas$one$of$them$is$an$inFdepth$interview$with$Roskilde$FestiF val’s$management.$The$person$interviewed$is$Freja$Frederiksen,$one$of$two$employees$in$the$

sustainability$department.$We$therefore$consider$Frederiksen$as$an$expert$within$the$field$of$susF tainability$and$waste$management$at$Roskilde$Festival,$and$find$that$she$possesses$sensitive$inforF mation$about$the$business$model,$operation,$and$festival$guests.$Moreover,$we$conducted$five$inF terviews$with$volunteers$at$the$festival,$as$they$can$give$us$essential$information$on$the$operaF tional$level$and$they$are$therefore$also$found$to$be$the$best$source$to$illustrate$how$well$Roskilde$

Festival$is$doing$in$implementing$environmental$practices$throughout$the$entire$business$model.$

We$find$it$impossible$to$obtain$this$information$in$other$ways$than$by$interview.$Moreover,$the$

semiFstructured$form$is$chosen$in$order$to$reduce$potential$errors$while$still$keeping$the$flexibility$

to$vary$the$sequence$and$ask$further$elaborating$questions.$Please$see$appendix$1F2$for$our$interF view$guides$for$the$six$interviews.$The$questions$asked$is$openFended$questions,$which$will$be$

used$to$both$understand$the$perceptions$of$the$participants$and$to$quantify$a$few$of$the$findings$

in$the$volunteer$interviews.$$$

$

We$chose$six$interviews$as$previous$research$indicates$that$73%$of$contentFdriven$codes$are$idenF tified$within$the$first$six$transcripts$(Guest,$Bunce$&$Johnson,$2006).$

$

Stage(3:(Conducting(the(Interviews$

Prior$to$the$interviews$we$informed$our$participant$of$the$overall$purpose$of$getting$an$underF standing$of$how$the$festival$operates$with$a$focus$on$waste$management.$We$did$not$provide$

them$with$an$interview$guide$nor$did$we$inform$the$participant$about$the$theoretical$focus$of$CSR$

versus$CSV.$In$the$end$of$the$inFdepth$interview$we$asked$if$they$communicate$their$sustainable$

behavior$as$either$CSR$or$CSV.$Thus,$we$ensured$that$the$participants$provided$us$with$honest$and$

impartial$answers.$Moreover,$the$five$volunteer$interviews$were$conducted$by$different$interviewF ers$which$increased$our$need$for$a$more$structured$approach,$to$be$able$to$compare$and$quantify$

the$collected$data.$Prior$to$conducting$the$interviews,$all$participants$were$asked$for$acceptance$

of$our$usage$of$recording$devices$and$that$information$would$be$applied$in$our$thesis.$$$

$

We$further$conducted$the$interviews$in$the$participants’$native$language$to$ensure$that$the$particF ipants$felt$comfortable,$relaxed$and$that$they$could$express$themselves$without$any$discomfort.$In$

respect$to$the$participants’$daily$life$and$the$length$of$the$interview,$it$was$found$sufficient$to$conF duct$some$of$the$interviews$by$telephone.$We$are$aware$that$this$may$cause$difficulties$in$relation$

to$responding$to$signs$of$unease,$face$characteristics,$or$other$physical$observations$that$we$

otherwise$would$have$been$able$to$address$in$a$faceFtoFface$interview.$However,$the$convenience$

and$flexibility$of$the$participants$was$valued$higher,$as$we$found$that$this$would$encourage$their$

full$cooperation$and$willingness$more.$$$$$$

$

Stage(4:(Transcribing(the(Interviews$

We$have$chosen$to$transcribe$the$six$interviews$as$it$provides$us$with$a$good$basis$for$further$

analyses$of$the$interviews$and$their$contexts$(Malhotra$et$al.,$2017).$See$appendix$3F8$for$the$

transcripts.$The$intended$use$of$the$transcripts$is$to$discover$meanings$and$motives$for$how$RosF kilde$Festival$operates$and$manage$their$environmental$profile,$specifically$their$waste$manageF ment$behaviors.$For$these$reasons,$the$transcription$was$performed$roughly$without$mentioning$

pauses,$laughter,$etc.$Moreover,$as$mentioned$in$stage$3,$the$interviews$were$conducted$in$the$

participants$native$language,$Danish,$and$the$transcripts$will$therefore$also$be$in$Danish$as$both$of$

us$as$researchers$are$native$Danish$speakers$as$well.$We$are$aware$of$the$fact$that$when$tranF scribing$the$interviews,$the$reliability$may$decrease,$since$we$are$converting$oral$language$into$

written$language$and$this$may$cause$us$to$have$to$reFwrite$some$sentences,$as$humans$generally$

talk$in$a$flow$of$‘runFonFsentences’$(Brinkmann$&$Kvale,$2015).$However,$as$our$thesis$does$not$

focus$on$language$and$linguistics,$it$is$not$found$to$be$critical.$When$conducting$the$meaning$codF ing$we$have$to$translate$and$convert$the$oral$language$into$English.$Nonetheless,$since$we$are$edF ucated$in$the$English$language$the$impact$on$the$reliability,$in$this$term,$is$considered$to$be$limF ited.$$$$$

$

Stage(5:(Analyzing(the(Interview(Data$

We$will$apply$two$different$analytical$methods$in$our$thesis.$Firstly,$we$will$apply$meaning$coding$

to$our$five$volunteer$interviews,$where$we$break$down$the$data$into$different$categories.$The$purF pose$is$to$define$the$volunteer’s$meaning,$motives,$and$perception$of$the$environmental$behavior$

at$Roskilde$Festival.$The$second$method$that$we$will$apply$is$statistical$frequency$analysis$in$order$

to$create$an$overview$of$the$volunteers’$meanings,$motives,$and$perception$and$to$see$if$there$are$

some$areas$that$they$can$agree$on.$These$two$methods$will$create$the$fundamental$basis$for$the$

primary$empirical$data.$$

$

$

$

$

Stage(6:(Verifying(the(Data($

Reliability,$replication,$and$validity$are$three$important$criteria$when$verifying$and$evaluating$a$reF search$interview$(Brymann,$2008).$Other$researchers$would$to$some$extent$be$able$to$obtain$the$

same$results$if$the$same$semiFstructured$interview$guide$was$applied.$However,$we$also$recognize$

our$philosophy$of$science$and$that$we$construct$our$reality$together$as$researchers$and$alongside$

the$respondents$of$the$interview.$For$these$reasons$we$argue$that$the$reliability$and$replication$is$

medium.$Validity,$on$the$other$hand,$is$divided$into$internal$and$external$validity$(Brymann$&$Bell,$

2015).$We$make$sure$that$our$thesis$has$credibility$and$internal$validity$by$securing$that$we$have$

an$understanding$of$the$participants’$statements$and$avoid$falsely$interpreting$their$responses.$

During$all$the$qualitative$interviews$we$use$probes$and$additional$questions$to$get$the$participants$

to$clarify$what$they$mean$and$provide$thoughtful$elaborations.$Therefore,$we$continually$checked,$

questioned,$and$theoretically$interpreted$our$findings,$and$the$internal$validity$is$therefore$argued$

to$be$high,$as$we$adopted$a$critical$stance$towards$the$obtained$knowledge$and$the$analysis.$

Moreover,$the$external$validity$and$thereby$the$degree$of$which$the$findings$can$be$generalized$to$

other$industries$is$argued$to$be$limited.$Having$valid$interviews$will$enable$us$to$collect$accurate$

information$regarding$the$concepts$that$the$project$concerns$(Brymann$&$Bell,$2015).$For$the$inF terviews$we$use$clear$and$well$formulated$questions$in$order$to$make$sure$that$the$respondents$

understand$the$questions,$and$to$secure$the$information$is$reliable$as$the$data$collected$is$conF sistent.$

$

We$are$aware$of$the$different$errors$and$biases$which$can$occur$and$substantially$affect$the$reF search$design$and$ergo$our$findings.$Errors$and$biases$are$challenging$to$eradicate,$however$an$

attempt$to$minimize$them$is$crucial$(Malhotra$et$al.,$2017).$For$our$expert$interview$with$Roskilde$

Festival$Gruppen$we$acknowledge$that$errors$regarding$participants$not$being$willing$to$provide$

answers$may$occur.$Another$potential$error$can$be$the$interviewees$not$answering$or$discussing$

questions$due$to$sensitive$topics.$We$aim$at$reducing$this$risk$by$emphasizing$the$possibility$of$a$

confidential$agreement$or$by$rephrasing$our$questions.$For$our$volunteer$interviews$we$recognize$

similar$errors$as$well$as$creating$bias$through$leading$questions$(Veal,$2011;$Malhotra$et$al.,$2017).$

The$interviewed$participants$are$not$accustomed$to$being$interviewed$which$potentially$can$cause$

errors.$To$reduce$this$risk,$we$aim$to$create$clear$and$understandable$questions$and$ensure$that$

the$participants$feel$comfortable$(Malhotra$et$al.,$2017).$$

$

Stage(7:(Reporting(the(Findings$

The$conducted$interviews$will$contribute$to$the$final$results$of$our$thesis.$The$report$will$thereF fore,$when$needed,$include$citations$and$references$from$the$interviews.$For$these$reasons$we$

also$ensured$that$the$participants$in$our$interviews$were$aware$of$our$intention$to$use$their$stateF ments,$information,$and$industry$knowledge$in$the$report.$$

2.4(Critical(Reflections

(

We$find$it$important$to$argue$for$the$reflective$and$reflexive$approach$of$our$thesis$as$it$allows$us$

to$recognize$our$role$within$the$process$of$our$thesis$and$remain$critically$reflective.$Reflexivity$is$

defined$as$the$process$of$reflecting$critically$on$our$self$as$researches$and$is$important$as$“it+will+

allow+you+to+surface+any+preconceived+ideas+that+you+may+have+about+your+topic+and+what+you+ex6 pect+to+find+and+help+you+to+be+aware+of+your+own+biases”+(Saunders$et$al.,$2016,$p.$27).$This$secF tion$will$present$the$five$reflective$and$reflexive$thoughts$we$have$come$across$during$the$thesis$

process.$$

$

Firstly,$our$own$beliefs$and$feelings$inevitably$impact$our$research$and$thereby$our$thesis$results$

(Saunders$et$al.,$2016).$For$this$reason,$we$also$acknowledged$our$scientific$philosophy$as$social$

constructivism.$However,$by$doing$so$we$also$recognize$that$our$thesis$will$be$based$on$subjective$

argumentations$that$are$constructed$through$social$interactions$in$which$the$social$actors$create$

partially$shared$meanings$and$realities.$Based$on$this,$we$also$acknowledge$the$need$for$actively$

reflecting$on$and$question$our$own$values.$When$researching$on$the$CSR$and$CSV$approach$we$

are$aware$that$we$preliminarily$perceived$the$CSV$approach$as$a$stronger$approach$for$the$festival$

industry.$Nevertheless,$we$acknowledge$our$values$in$this$matter,$and$therefore$we$ensured$that$

we$critically$assess$the$CSV$approach$and$the$preFassumptions$of$the$CSR$approach$by$analyzing$

the$two$approaches$from$an$empirical$perspective.$This$could$help$us$overcome$some$of$our$beF liefs$and$instead$socially$construct$a$shared$reality$of$the$approaches$based$on$our$suppositions,$

the$empirical$findings,$and$theoretical$arguments.$$$$$

$

Secondly,$as$the$aim$of$our$thesis$is$to$understand$why$the$festival$industry$should$consider$shiftF ing$from$a$CSR$to$a$CSV$approach,$we$therefore$include$and$discuss$secondary$data$that$has$alF ready$been$published$and$is$relevant$within$this$research$field.$We$critically$reflect$on$literature,$

academic$articles,$sources,$and$publishers.$However,$as$the$field$of$research$is$fairly$new$since$the$

CSV$approach$was$first$officially$presented$in$2011$by$Porter$&$Kramer,$we$therefore$had$to$inF clude$some$literature$and$academic$articles$that$are$not$wellFcited$nor$from$large$and$recognized$

journals$as$e.g.$Harvard$Business$Review.$Nonetheless,$we$have$always$assessed$the$literature$and$

academic$journals$based$on$relevance,$value$and$sufficiency$in$relation$to$our$research$questions.$

Moreover,$we$discussed$our$primary$data$and$the$theoretical$arguments$throughout$the$thesis,$

and$finally$used$this$discussion$as$a$basis$for$critically$reflecting$on$the$theory$and$consequently$

expanded$on$the$existing$theory.$This$is$also$why$we$apply$an$abductive$approach,$which$is$a$comF bination$of$the$deductive$and$inductive$approach.$$

$

Thirdly,$we$recognize$that$our$interests$and$the$skills$that$we$either$have$or$are$able$to$develop$

influence$the$secondary$and$primary$data$that$we$have$collected,$applied$and$analyzed.$The$multiF ple$cases$that$we$applied$is$chosen$and$assessed$by$us$as$researchers$based$on$our$values,$beliefs,$

and$how$we$perceived$their$relevance$to$support$us$in$answering$our$research$question.$We$are$

therefore$aware$that$the$cases$may$be$biased,$and$if$we$instead$had$randomly$chosen$the$case$

companies,$different$results$may$have$been$found.$Nonetheless,$by$applying$multiple$cases$we$

were$able$to$focus$on$whether$our$findings$could$be$replicated$across$the$cases,$and$thereby$reF ducing$the$biases$again.$$Moreover,$we$are$aware$that$errors$can$occur$when$analyzing$the$data$

obtained$from$the$expert$interview$as$well$as$the$volunteer$interviews.$These$errors$can$occur,$

given$our$research$philosophy$and$the$presence$of$subjectivity,$as$we$interpret$the$data$to$find$

results$(Malhotra$et$al.,$2017).$This$can$potentially$damage$the$reliability$of$our$thesis.$However,$

we$attempt$to$reduce$this$risk$and$potential$bias$of$the$researcher$as$we$both,$as$authors,$particiF pate$in$the$coding,$analysis,$and$discussion$of$the$data.$

$

Fourthly,$a$project$is$determined$to$be$reliable$when$the$same$results$can$be$achieved$when$the$

study$is$replicated,$which$is$external$reliability$(Saunders$et$al.,$2016).$Additionally,$we$ensure$inF ternal$reliability$by$being$consistent$throughout$the$thesis$(Saunders$et$al.,$2016).$Internal$reliabilF ity$is$established$by$conducting$the$study$collectively$to$secure$that$every$aspect$of$the$project$is$

discussed$and$agreed$upon$regarding$the$interpretation$of$the$outcomes.$Explaining$in$detail$how$

and$why$the$chosen$data$is$collected$and$analyzed$ensures$external$reliability.$Given$our$mixed$

method$design$on$a$subjective$epistemology,$we$acknowledge$that$our$interpretation$is$relatively$

subjective$which$in$turn$means$that$generalization$to$other$industries$is$not$achievable.$NevertheF less,$we$will$use$several$cases$to$determine$the$advantages$and$disadvantages$of$the$CSR$and$CSV$

approaches,$and$then$investigate$whether$these$findings$will$occur$in$the$case$of$Roskilde$Festival$

to$generalize$for$the$entire$festival$industry.$

$

Lastly,$our$research$design$and$proposal$has$been$formulated$to$minimize$the$ethical$concerns$

and$avoid$unethical$practice.$However,$ethical$concerns$will$still$emerge$when$seeking$access$to$

organizations$and$to$individuals,$collect,$analyze,$manage$and$report$on$data$(Saunders$et$al.,$

2016).$Overall,$we$will$apply$the$codes$of$ethics$that$we$have$learned$from$our$university,$CopenF hagen$Business$School,$which$is$available$online$in$our$thesis$forum.$In$relation$to$accessing$the$

participants$of$our$interviews,$we$have$been$open$and$honest$about$the$purpose$with$the$interF view,$the$usage$of$recording$devices,$and$finally$the$objective$of$applying$their$statements$in$our$

thesis$report.$We$also$ensured$that$they$were$aware$that$they$at$any$time$could$withdraw$from$

the$interviews,$and$if$requested$they$could$stay$anonymous.$In$contrast,$we$apply$online$websites$

and$communities$without$asking$for$further$knowledge$or$permission$of$those$who$created$it,$

which$may$be$seen$as$unethical$behavior.$Nevertheless,$the$companies$and$communities$chose$to$

distribute$information$online,$which$is$open$to$the$public.$For$this$reason,$we$did$not$consider$our$

behavior$as$unethical.$$

$

Considering$our$critical$reflections,$we$will$in$the$next$chapter$present$the$theory$that$will$funcF tion$as$the$foundation$for$our$thesis.$$

$

(

Chapter(3.(Literature(Review (

This$chapter$presents$and$accounts$for$the$theoretical$foundation$of$our$thesis,$which$we$chose$to$

construct$the$frame$for$the$following$analysis$and$ultimately$answer$the$research$question.$The$

chapter$represents$different$theoretical$perspectives$and$subject$areas$mainly$from$the$fields$of$

Corporate$Social$Responsibility,$Creating$Shared$Value,$and$Business$Modelling.$

$

In$recent$years,$the$focus$on$human$society$and$its$crisis$of$sustainability$has$increased.$This$has$

led$to$several$societal$developments$and$the$creation$of$alternatives$to$the$processes$that$causes$

the$crisis.$In$light$of$this$development,$several$organizations$within$the$festival$industry$have$foF cused$their$attention$on$their$environmental$footprint$and$made$initiatives$to$become$more$susF tainable.$The$following$section$will$introduce$the$definition$of$CSR$and$provide$a$comprehensive$

investigation$of$an$organization’s$motivation$to$integrate$CSR$in$their$business$model.$Afterwards,$

it$will$introduce$the$frameworks$associated$with$the$term.$ 3.1(The(Rise(of(Corporate(Social(Responsibility((CSR)

(

What$exactly$the$concept$of$CSR$entails$is$not$easily$defined.$The$term$is$both$discretionary$and$

internally$complex,$and$it$has$fairly$open$rules$of$application$(Matten$&$Moon,$2008).$At$the$core$

of$CSR$is$the$idea$that$it$reflects$the$social$imperatives$and$the$social$consequences$of$business$

success.$Thus,$CSR$empirically$consists$of$clearly$articulated$and$communicated$policies$and$pracF tices$of$corporations$that$reflect$business$responsibility$for$some$of$the$wider$societal$good$(MatF ten$&$Moon,$2008).$Our$thesis$will$employ$the$European$Commission’s$definition,$because$it$proF vides$a$comprehensive$understanding$of$the$term.$CSR$is$defined$as$“a+concept+whereby+compa6 nies+decide+voluntarily+to+contribute+to+a+better+society+and+a+cleaner+environment”$by$integrating$

“social+and+environmental+concerns+in+their+business+operation+and+in+their+interaction+with+their+

stakeholders”$(the$European$Commission,$quoted$in$Weber,$2008,$p.$247).$

$$

Because$CSR$can$be$seen$as$an$investment$into$the$environment,$human$capital,$and$stakeholder$

relationships,$it$is$considered$a$key$resource$by$a$growing$number$of$companies$in$today’s$corpoF rate$world.$Hence,$in$the$past,$and$now,$it$is$sometimes$difficult$to$differentiate$what$organizaF tions$are$doing$for$business$reasons,$e.g.$making$the$workers$more$productive,$and$what$the$orF ganizations$are$doing$for$social$reasons,$e.g.$helping$to$fulfill$their$needs$and$make$them$better$

and$more$contributing$members$of$society$(Carroll,$2008).$Therefore,$it$can$be$beneficial$to$

identify$the$main$motivational$factors$for$implementing$the$CSR$approach$strategically$since$its$

origins,$as$it$can$affect$companies’$encouragement$and$behavior.$Furthermore,$Dolcinar$&$PomerF ing$(2008)$found$that$purchase$intentions$and$consumer$attitudes$are$influenced$by$CSR$initiatives$

F$if$consumers$are$aware$of$them.$They$identified$a$strong$consumer$demand$for$CSR$information$

and$argues$that$this$information$could$affect$consumer$behavior$(Dolcinar$&$Pomering,$2008).$ 3.2.1(The(Motivational(Factors(of(CSR(

The$origins$of$CSR$are$found$in$the$concept$of$philanthropy,$which$appeared$in$the$1800s$(Carroll,$

2008).$It$was$about$the$desire$of$promoting$the$welfare$of$others$expressed$by$donations$of$

money$to$good$causes.$Back$then,$the$focus$on$CSR$in$organizational$terms$rose$due$to$concerns$

about$employees$and$how$to$make$them$more$productive$(Carroll,$2008).$Examples$of$early$philF anthropic$actions$was$local$donations$and$local$community$commitments.$However,$it$was$first$

decades$later$that$the$organizational$management$could$engage$in$and$synergize$philanthropy$to$

provide$both$benefits$to$the$general$community$as$well$as$their$own$business.$

$

The$contentious$concept$of$CSR$emanates$from$a$number$of$societal$changes.$Figure$2$presents$a$

timeline$of$CSR’s$motivational$significance$from$1950F10s.$

$

Figure$2:$Timeline$of$CSR$from$1950s$to$2010s$(MouraFLeite$&$Padgett,$2011)$

$

From$the$very$onset,$CSR$has$been$a$‘voluntary’$requirement$that$stems$from$the$intensified$exF pectations$of$people$and$government$embedded$with$a$synergy$between$profits$and$‘doing$good’.$

The$advantages$of$explicitly$calling$CSR$for$what$it$is,$is$that$it$directs$the$attention$towards$social$

and$environmental$relationships$in$a$strategic$way$and$integrate$it$in$the$day$to$day$business$

(Christensen,$Morsing$&$Thyssen,$2013).$

$

One$of$the$early$pioneers$of$CSR,$William$C.$Frederick,$asserted$that$there$were$three$core$ideas$in$

the$1950s:$the$idea$of$corporate$managers$as$public$trustees;$the$idea$of$balancing$competing$

claims$to$corporate$resources;$and$the$acceptance$of$philanthropy$as$a$manifestation$of$business$

support$of$good$causes$(Frederick,$2006).$The$main$motivation$for$integrating$CSR$in$the$50s$and$

60s$was$to$improve$employee$welfare,$however,$only$through$philanthropic$actions$with$limited$

strategic$perspective$(Carroll,$2008).$For$these$reasons,$it$can$be$argued$that$companies$in$this$

time$period$did$more$‘talk’$than$‘actions’$in$the$field$of$CSR.$Communicating$it$to$improve$the$orF ganizations’$image$with$the$general$public$was$yet$an$unexploited$area.$The$1970s$assumed$that$a$

social$contract$between$organizations$and$society$was$changing$the$interest$in$social$responsibilF ity.$Furthermore,$legislation$stipulated$companies$to$incorporate$CSR$initiatives$and$the$motivaF tional$factor$in$this$decade$are$therefore$less$voluntary$(Carroll,$2008).$

$

The$last$decades$of$the$millennium$had$high$impact$on$the$CSR$concept$we$know$today.$When$

looking$at$the$80s$and$90s$the$motivational$factors$changed$radically.$Consumers$and$society$

started$to$demand$socially$responsible$actions$from$organizations$by$creating$highly$publicized$

campaigns$with$the$purpose$of$forcing$them$to$take$social$responsibility$and$voluntarily$change$

their$business$model$(Bhattacharyya,$Sahay,$Arora$&$Chaturvedi,$2008).$As$a$result,$companies$

had$to$adjust$their$mindset$and$incorporate$CSR$in$a$completely$new$way.$This$created$a$major$

trend$in$the$90s,$that$still$exists$today,$which$is$the$emergence$of$many$different$organizations$

that$have$developed$excellent$reputations$for$CSR$practices.$Companies$such$as$VELUX$Group,$

Nike$and$The$Body$Shop$all$embrace$CSR$practices$and$have$developed$reputations$within$the$

field.$Thus,$the$motivational$factors$were$dominated$by$deliberated$strategic$behaviors$caused$by$

the$external$expectations$to$do$good,$as$a$negative$CSR$reputation$could$harm$the$business’$botF tom$line.$

$

In$the$00s$CSR$became$a$global$phenomenon$and$the$effectiveness$of$CSR$initiatives$with$broader$

systems$of$private$and$public$governance$became$apparent$(Carroll,$2008).$However,$reputational$

issues$were$problematic$for$several$companies$in$the$00s$and$10s$where$actions$primarily$were$

reactive$based$on$expectations$or$reputational$crises.$The$pressure$of$global$competition$and$inF tensified$media$scandals$played$a$significant$role$for$companies$to$prioritize$their$CSRFactivities$

(Morsing,$Schultz$&$Nielsen,$2008).$This$drove$the$motivational$factors$to$change$again$to$become$

proactive$and$organizations$seemed$to$become$genuinely$more$interested$in$their$social$

responsibility$(Morsing$et$al.,$2008).$Indeed,$the$majority$of$companies$are$still$in$the$phase$of$

transforming$and$adjusting$their$business$model$to$the$societal$expectations,$which$is$also$indiF cated$by$the$problem$for$Roskilde$Festival$to$meet$their$Sustainability$Strategy’s$target.$

3.2.2(CSR(Arguments(

Proponents$of$CSR$argue$that$firms$ought$to$engage$in$CSR$because$of$the$fact$that$they$possess$

more$knowledge$and$more$capital$which$makes$them$better$equipped$than$e.g.$NGOs$who$may$

more$often$result$in$innovations$of$beneficial$products$and$technologies$(Devinney,$2009).$Others$

appeal$to$the$rationality$of$managers$by$pointing$to$the$corporate$longFterm$benefits.$One$such$

way$is$through$the$Resource$Based$View$(RBV)$which$states$that$a$company$utilizes$the$resources$

(tangible$or$intangible)$at$its$disposal$to$create$competitive$advantage.$If$these$resources$are$

unique,$heterogeneous,$and$not$entirely$mobile,$this$competitive$advantage$may$be$inimitable$

and$constitutes$a$basis$of$positioning$and$differentiation$which$in$turn$may$provide$long$term$

profits.$Seeing$that$CSR$capabilities$include$the$ability$to$scan,$understand,$and$respond$to$societal$

needs$and$changes,$proponents$argue$that$CSR$may$be$seen$as$such$a$resource$upon$which$build$

competitive$advantage$(Plesner$&$Neergaard,$2005).$Finally,$other$commonly$heard$arguments$

used$to$justify$CSR$relate$to$the$fact$that$CSR$can$be$used$as$a$preFemptive$measure$to$avoid$govF ernmental$regulations$and$that$proaction$is$often$“more+practical+and+less+costly+than+simply+re6 acting+to+social+problems+once+they+have+surfaced”$(Carroll$&$Shabana,$2010:$89).$

$

However,$CSR$adversaries$have$pinpointed$to$the$fact$that$the$ethics$of$CSR$is$often$not$all$black$

and$white.$When$social$concerns$become$corporate$responsibility,$companies$essentially$assume$

the$role$of$judges,$juries,$and$executioner,$and$will$in$that$sense$be$“granted+an+excessive+concen6 tration+of+power+which+would+threaten+the+pluralistic+division+of+powers+among+out+various+social+

institutions,+there+threatening+our+democratic+freedoms”$(Lantos,$2001,$p.$617).$Finally,$adverF saries$have$argued$that$gaining$competitive$advantage$through$the$creation$of$a$brand$based$on$

CSR$is$only$likely$to$ensure$average$profits$(Blomgren,$2010).$CSR$is$a$means$to$acquire$longFterm$

benefits,$competitive$advantage,$and$a$license$to$operate.$Indeed,$CSR$is$a$tool$for$branding$and$

differentiation$until$it$has$become$so$widely$adopted$that$being$socially$responsible$is$simply$a$reF quirement$to$compete$and$CSR$will$cease$to$be$a$unique$concept$(Blomgren,$2010).$Paradoxically,$

the$arguments$against$CSR$has$rendered$the$question$of$whether$or$not$a$company$should$

engage$in$CSR.$To$facilitate$a$continued$overview$on$part$of$the$reader,$figure$3$have$been$conF structed$to$expand$on$the$above$points.$

$

Figure$3:$Arguments$for$and$against$CSR$

$

A$main$issue$of$CSR+is,$therefore,$to$identify$whether$organizations’$true$intentions$is$to$do$good$

and$act$responsible,$or$whether$their$main$focus$always$lie$upon$the$bottom$line.$From$a$theoretiF cal$perspective,$it$has$been$argued$that$CSR$is$a$short$run,$nonFintegral$approach$that$cannot$be$

perceived$as$a$competitive$advantage$(Carroll,$2008;$Porter$&$Kramer,$2011).$Many$alternatives$

have$therefore$been$introduced$in$an$attempt$to$provide$new$or$more$precise$frameworks$that$

can$benefit$the$company$in$the$long$run.$The$term$Creating$Shared$Value$(CSV),$introduced$by$

Porter$and$Kramer$(2011),$is$one$of$such.$$

3.2(The(Rise(of(Creating(Shared(Value((CSV)

(

The$term$Creating$Shared$Value$(CSV)$are$included$as$it$is$the$key$interest$point$in$this$thesis$since$

it$is$a$new$branch$within$the$corporate$world$of$social$and$sustainable$focus.$It$is$relevant$for$our$

thesis,$as$it$potentially$could$help$Roskilde$Festival$reaching$their$aim$of$sorting$10%$more$of$their$

waste$per$year.$Indeed,$it$could$provide$value$for$Roskilde$Festival$due$to$the$changing$industry$

and$increasing$environmental$awareness$from$stakeholders.$Furthermore,$the$potential$

advantages$of$the$approach$have$not$been$assessed$in$relation$to$the$festival$industry$in$specific$

which$was$identified$as$a$potential$gap$to$investigate$closer.$$

$

In$the$article$“Creating$Shared$Value.$How$to$reinvent$capitalism$F$and$unleash$a$wave$of$innovaF tion$and$growth”$Michael$Porter$&$Mark$Kramer$(2011)$suggest$what$they$see$as$a$paradigmatic$

change$in$management$thinking$from$CSR$to$CSV.$They$believe$that$this$paradigmatic$change$conF tributes$to$nothing$less$than$the$reinvention$of$capitalism.$They$take$a$critical$stance$towards$

management$that$aims$at$generating$shortFterm$business$profits,$and$they$stress$the$importance$

of$“creating+shared+values,+and+not+just+profit+per+se”$(Porter$&$Kramer,$2011,$p.2).$By$contrast,$

they$argue$that$the$concept$of$CSV$will$(re)connect$businesses$with$society$(Beschorner,$2013).$

They$introduced$the$term$to$enhance$the$competitiveness$of$a$company$while$simultaneously$adF vancing$social$and$economic$conditions$in$the$communities$in$which$the$company$sells$and$operF ate$(Moore,$2014).$Porter$&$Kramer$(2011)$predict$that$incorporating$societal$issues$into$strategy$

and$operations$is$the$next$major$transformation$in$management$thinking.$They$make$clear$that$

their$standpoint$with$CSV$has$nothing$to$do$with$charity$or$moral$chit$chat$about$justice$or$a$

greater$good,$but$it$is$rather$an$economic$approach$to$normative$issues$that$will$pay$off$for$busiF nesses$in$the$long$run$(Porter$&$Kramer,$2011).$This$statement$is$an$important$viewpoint$to$our$

thesis$as$it$proclaims$the$fact$that$companies$in$almost$every$case$does$not$make$business$deciF sions$without$considering$the$economics.$

3.2.1(The(Distinction(Between(CSR(and(CSV(

The$distinction$between$CSR$and$CSV$can$be$puzzling$and$there$is$a$considerable$amount$of$confuF sion$and$debate$about$the$difference$(Moore,$2014).$Porter$(2012)$have$expressed$that$CSR$funF damentally$is$about$taking$resources$from$the$business,$and$investing$these$in$being$a$good$corpoF rate$citizen$by$recycling,$donating$money$to$social$causes,$reporting$on$social$and$environFmental$

impacts,$and$engaging$employees$in$community$works,$etc.$On$the$contrary,$Porter$argues$that$

Shared$Value$is$aimed$at$changing$how$the$core$business$operates$F$strategy,$structure,$people,$

process$and$rewards$F$in$order$to$deliver$triple$bottom$line$returns.$The$fundamental$distinction$is$

that$CSR$is$about$doing$something$separate$from$the$business$and$CSV$is$about$integrating$social$

and$environmental$impact$into$the$business,$using$that$integration$to$drive$economic$value.$

Hence,$the$CSV$approach$integrates$social$issues$with$the$firm’s$core$business$innovation$through$

operational$changes,$while$CSR$initiatives$can$be$separate$from$the$business$practice.$As$such,$CSV$

is$integral$to$the$corporate$core$business$and$strategy$framework.$The$motivational$factor$behind$

incorporating$the$CSV$thinking$is$to$expand$their$business$model$to$improve$the$wellFbeing$of$peoF ple$and$the$planet,$reduce$or$eliminate$externalities,$and$not$to$forget,$earn$a$profit$(Moore,$

2014).$Furthermore,$companies$have$realized$that$consumers$find$charitable$donations$important$

as$well$as$holding$oneself$accountable$for$the$climate$print$and$social$impacts$left$behind.$The$folF lowing$figure$aligns$the$two$terms$in$order$to$provide$an$overview$of$their$key$characteristics:$

$

$ Figure$4:$Summing$up$the$differences$between$CSR$and$CSV$

3.2.2(Critique(of(The(CSV(Approach(

The$shared$value$perspective$perceives$companies$as$players$with$the$ability$to$calculate$benefits,$

but$they$cannot$be$conceptualized$as$actors$beyond$the$economic$ideology$(Beschorner,$2013).$

Porter$&$Kramer$have$been$criticized$on$making$a$too$particular$and$narrow$understanding$of$CSR;$

it$being$essentially$philanthropic$and$disconnected$from$a$company’s$core$business$(Beschorner,$

2013).$They$have$furthermore$been$accused$of$basing$their$arguments$on$a$purely$economic$logic.$

ProfitFseeking$is$not$per+se$bad,$but$profit$maximization$without$any$ethical$basis$could$lead$to$